Johnson & Johnson advised its shareholders to reject a mini-tender offer by Peer & Peri LLC as it was priced about 22.6% below-market.
Peer & Peri offered to buy up to 30,000 of the company's common shares, or about a 0.001% stake, for $98.50 per share in cash. J&J shares closed at $127.27 per share on Dec. 28, 2018, the last closing before the offer was launched.
New Brunswick, N.J.-based Johnson & Johnson, the world's largest pharmaceutical company, recommended that shareholders who have not responded to the offer to take no action, and those who tendered shares to withdraw them before the offer expires at 5 p.m. ET on Jan. 31.
Mini-tender offers involve the acquisition of less than 5% of a company's stock, allowing the buyer to avoid certain disclosure and procedural requirements of the U.S. SEC.